Philippine Daily Inquirer

Raise on way for gov’t workers, military personnel

- By Ben O. de Vera

STARTING tomorrow, the budget department will be releasing to various government agencies a total of P24 billion to cover the additional salaries of civilian employees and the new allowances of military and uniformed personnel, Budget Secretary Butch Abad said yesterday.

The money to be released by the Department of Budget and Management will be sourced from the miscellane­ous personnel benefits fund in the P3.002trillio­n 2016 budget.

The initial tranche of pay adjustment­s granted by Executive Order (EO) No. 201 signed by President Aquino earlier this monthwill require P57 billion, the bulk of which would be released within the first half of the year.

“Of the P24 billion, P18.64 billion will augment the compensati­on of civilian personnel, while P5.36 billion will go to the allowances and hazard pay of military and uniformed personnel,” Abad said.

The pay-out for civilian workers and military and uniformed personnel is based on data from the Government Manpower Informatio­n System which show the number of filled positions as of Dec. 31, 2015.

According to Abad, the balance of P33 billion has been “set aside for newly filled positions and for the midyear bonus, which will be released not earlier than May 15 of this year.”

The appropriat­ions for civilian personnel include the following: Salary differenti­al, step increment due to length of service, 13th-month pay differenti­al, PhilHealth differenti­al, employees compensati­on insurance premiums differenti­al, and retirement and life insurance premiums differenti­al.

That of military and uniformed personnel will cover the monthly provisiona­l allowance, monthly officers’ allowance as well as the increase in monthly hazard pay to P390 from the P240.

Immediate implementa­tion

“We want to ensure the immediate implementa­tion of the new salary rates and the release of the pay and allowance differenti­als as the compensati­on adjustment­s apply retroactiv­ely to the start of the year,” Abad said.

He explained that the first tranche of salary adjustment­s included a midyear bonus equivalent to one month’s salary and a productivi­ty enhancemen­t incentive in the amount of P5,000.

“Given that benefits not exceeding P82,000 are exempt from tax, public servants with salary grades 1 to 11 will receive both bonuses tax-free, while salary grades 12 to 16 will receive the entirety of their midyear bonus,” Abad said.

Employees of government­owned an -controlled corporatio­ns (GOCCs) are “included in the compensati­on adjustment, provided that they are not covered by Republic Act No. 10149, which establishe­s a separate compensati­on and classifica­tion system for GOCC personnel,” he said.

GOCCs covered by EO No. 201 will pay their employees’ salary adjustment­s out of their corporate funds, Abad said.

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